Map pling Command-and-control (sometimes called direct control) is when the gove
ID: 1201905 • Letter: M
Question
Map pling Command-and-control (sometimes called direct control) is when the government passes legislation specifically regulating an activity (typically because it leads to market failure). Move the true and false statements regarding this type of regulation into the corresponding bin Place all six of the statements. s. False True Command-and-control is more A command-and-control regulation flexible than market based regulation. is subject to political considerations Under command-and-control regulation, Command and control situations are the government will sometimes specify the always the best option when it comes technology that firms must use in production. to reducing the amount of pollution. The government may decide on a specific A limitation of a command-and-control amount of pollution that firms can legally emit regulation is that firms have no incentive to remove pollution once they are within the legal pollution limits Hint O Previous Give Up & View Solution Check Answer 0 Next ExitExplanation / Answer
1. Command and control is more flexible than market based regulation. - False
2. A command and control regulation is subject to political considerations. - True.
3. Under command and control regulation, the government will sometimes specify the technology that firms must use in production. - True
4. Command and control situations are always the best option when it comes to reducing the amount of pollution.- False.
5. The government may decide on a specific amount of pollution that firms can legally emit. - True.
6. A limitation of a command and control regulation is that firms have no incentive to remove pollution once they are within the legal pollution limits. - True